Why Analytics?

Once upon a time, I was helping a small business with its launch.

We did all kinds of promotions, and the results were great, but there was one small problem.

We hit a plateau, and we didn't know what to do next.

We couldn't tell which form of promotion was moving the needle vs. which one was useless.

This was the point at which I realized the importance of analytics.

You can't reliably improve what you can't measure.

I didn't have the know-how to solve the problem back then.

But that experience would lead me down a journey a few years later towards understanding analytics.

When I was finally able to implement tracking into my online marketing, it would empower me to 5X my results. How?

Because of something called Pareto's Principle.

It's based on a common observation that only 20% of your inputs are responsible for 80% of your results.

What that means for Marketing is that you have the potential to be much more effective than you are today, if you can figure out where your points of leverage lie.

And that's where analytics can help you.

By finding the traffic sources, pages, etc. that drive 80% of your leads and sales, you can double down on those areas to multiply your efficiency.

So instead of wasting 80% of your efforts, you can multiply the 20% that makes you great four times over.

As Tim Ferriss said:

"Focus on the important few and ignore the rest."

In The Four-Hour Workweek, Tim used Pareto's Principle to identify his best performing customers. Out of the 120 of customers Ferriss was serving, 5 of them accounted for 95% of the revenue. By focusing on those top-performing wholesalers and putting the rest on “autopilot,” he doubled his monthly revenue and cut his work time from 80 hours to 15 hours a week.

As Alex Hormozi put it recently:

"The first step of making progress is tracking progress. If you don’t track, you don’t care."

If you care about your business, I'd advise you to get a handle on your performance figures and start focusing on analytics asap.

We can help. Get a free review of your website today at https://flashmarketingroi.com/tips.